Clarification of Florida’s Lis Pendens Statute
Ober v. Town of Lauderdale-by-the-Sea, 218 So.3d 952 (Fla. 4th DCA 2017).
The firm was successful in overturning a trial court judgment that adversely impacted title to all property in Florida when a foreclosure sale is involved. At issue was whether liens placed on the property after the filing of the foreclosure notice, but prior to the foreclosure sale, survived the sale. The trial court had held that such liens were not extinguished by the foreclosure sale, a holding that potentially imperiled the title to thousands of pieces of property in the state.
On appeal, the appellate court agreed with our position that the foreclosure sale wipes out all liens that were inferior to the mortgage, regardless of whether those liens were filed before or after the notice of the foreclosure sale. As a result of the decision, the sanctity of title to Florida property following foreclosure sales has been validated, and the decision’s impact is statewide.